Volvo China sales soar by 108% y/y in Jan-May

Shanghai, June 8 (Gasgoo.com) The U.S. auto market showed signs of recovery in May, with several major car brands posting sales increase from a year earlier. However, sales of Volvo declined 16.5% year on year. On the contrary, China's auto sales in May continued to decrease from April figures, while the Volvo sales in China soared by 108% in January-May 2010, more than double its last year's sales.

Data shows that Volvo sales in the U.S. in May came to 4,659 units, down 16.5% from the same period of last year, when Volvo sales fell below 330,000. Nevertheless, its sales surged by 108% in China, achieving record success during the period from January to May 2010. China has now become Volvo's fourth largest market in the world.

Additionally, the deal of Geely's acquisition of Volvo, signed in March this year, is expected to be clinched in August. After the acquisition, the production base for Volvo has become a major concern in the industry. In addition to Beijing, Chongqing, Chengdu and Dalian cities, recent rumors said that Shanghai's Jiading district is the most possible location for the Volvo plant. Geely said that the location has not been decided yet.